The legal dispute between Ripple and the SEC has concluded following the US Court of Appeals decision, positively impacting XRP market.
Lawsuit Status with Ripple
The US Court of Appeals dismissed the appeals related to XRP, finalizing the long-standing legal battle between Ripple Labs and the SEC. This decision, made in October 2023, returns confidence to the market and several participants involved with XRP.
Market Impact and XRP Price
Following the court's announcement, XRP's price rose by 8%. This is expected as the ruling clarified that XRP is not considered a security in the context of secondary markets, thus positively affecting the perceived safety and legitimacy of the token for investors.
Financial Consequences for Ripple and Participants
Ripple agreed to pay a $125 million civil penalty for its violations related to institutional sales. This amount is significantly less than previously anticipated figures, which also raises confidence among investors and regulators.
The outcome of the litigation has brought clarity to XRP's legal status, potentially affecting future regulations in the cryptocurrency space and institutional investor confidence.
